Organizational Behaviour 26th Nov 2010 Coursework on the module, ‘MANAGING PEOPLE’ Course Code: MAN4230M UB Number: I certify that this assignment is the result of my own work and does not exceed the word count noted below. Number of words: 1500 (Excluding references/tables/figures and title page) UB: Page 1 A critical analysis of leadership in an organization: With reference to Accenture Introduction: 1. Leadership is crucial for the success of an organisation. Leadership can be found at different levels in the organisation other than executive level (Buchanan and Huczynski 2010). Walt Disney once said: “You can dream, create, design and build the most wonderful place in the world... but it requires people to make the dream a reality” (Hamzah and Zairi 1997). People are the most important asset of any organisation; driving, influencing and handling individuals of an organisation towards a common goal is a challenging and interesting job in the current increasingly competitive world. This review focuses on team management issue that occurred among management, team leader and team members of Accenture. Accenture is a Comment [BU1]: BROAD ISSUE global management consulting, technology services and outsourcing company. This review explores situational leadership, team leadership model and finds apt model to Accenture‟s context. This review stresses the importance of individual traits, motivation and also suggests a solution to leaders/managers on leading teams Comment [BU2]: SPECIFIC TOPIC ? to achieve best results. Real life problem: Value addition to the client by delivering efficient (quality & quick) output was the focus in the project to gain confidence of the new client that Accenture has acquired and thus acquiring more business from the client. Team leader has to achieve efficient and effective results from the team members; however team members are not motivated towards this goal as they would get their salary irrespective of their performance. There was no significant difference in the salary structure and bonus for a high and a medium performer and not many employees get high performance rating in the project. This clearly shows the criticality of a team leader in Accenture who handles teams to meet management expectations with stringent deadlines. Organisational groups or work teams leadership has become UB: Page 2 Comment [BU3]: ORG. PROBLEM one of the most popular and rapidly growing areas of leadership theory and research (Northhouse 2010). Implications: When targets are high and no incentives are being offered for such achievement employees lose focus, motivation, interest and can lead to many problems in the team. This is what exactly happened in Accenture‟s project. Few team members were performing at bare minimum level knowing the fact that there would not be any monetary benefits for high performance. This has shifted burden to other team members in the team resulting stress on these individuals. As a result conflicts among team members cropped up and the performance levels of all the employees dropped down significantly and most importantly employee attrition had started. Project started with an aim of acquiring new business from the client by gaining confidence in the form of delivering efficient output but ended up closely Comment [BU4]: PROBLEM DESCRIPTION / DETAIL towards loosing the client as the project deadlines were continuously missed. Leadership training and its relevance: Each individual in a team is unique and factors that influence the behaviour of an individual can be many, few of them are listed below. Experience Level Behaviour/attitude Personal Background Technical skills etc. As a result team leader needs to be flexible enough to handle each individual accordingly. Northhouse (2010 p.92) in his book refers to the work of Blanchard et al (1985) states that, four different leadership styles that can be chosen based on the experience of the team members as shown in figure 1. We can observe that as the knowledge and experience of the team increases, leader should shift his focus from directive behaviour to coaching followed by supportive and eventually allow the individual to act independently. As part of leadership excellence training program all UB: Page 3 Comment [BU5]: FIRST MODEL team leaders in the project have received situational leadership training in Comment [BU6]: MODEL ALREADY IN PRACTICE Accenture. Team leaders in the project focussed on experience aspect of the team members and ignored all other aspects of an individual; and also team was not looked as a whole rather the focus was much on individual basis. There were hardly any opportunities for the team members to meet and share their experiences and build relationships with other team members or other teams in the same project; due Comment [BU7]: PRACTICE CRITIQUING THEORY to lack of such environment e.g. frequent knowledge sharing sessions, team outings, and fun activities etc. Team co-ordination consistently lacked and this directly affected performance of each team member in the project. Situational leadership is helpful in handling individuals but this theory ignores team concept and all other aspects of individual except experience. In organizations where team work is pivotal to reach strict deadlines, situational leadership in itself is inadequate to handle the team; as this theory focuses on selecting the leadership style as per the individual‟s experience alone. Also, several authors do criticize this approach due to its ambiguity in defining development levels of subordinates, its credibility is questioned Comment [BU8]: OTHER THEORISTS (ONLY ONE ?) CRITIQUING MODEL as only few research studies have been conducted etc. (Northhouse 2010). UB: Page 4 Figure 1: (Source: The KenBlanchard Companies 2010). Choosing appropriate Leadership Model: In organisations like Accenture where team co-ordination is the paramount, team leaders and management need to focus on team building activities regularly, to build positive relationships among team members and work towards the organizational goal. Project members hardly get such opportunities to interact with all the team members as the management is keen in task accomplishment ignoring all others that contribute indirectly to the task in hand. In order for the project to be successful project has to adopt a leadership style that covers all aspects of a team such as coaching, managing conflicts among the team members, providing an environment to share information, training required to accomplish the tasks etc. All aspects discussed for the team success are covered in Team leadership model. This model presents leaders with a detailed road map to diagnose team problems and appropriate action to correct identified problems. UB: Page 5 Comment [BU9]: RATIONALE FOR AN ALTERNATIVE MODEL This model (See Figure 2) is based on functional leadership claim that leader‟s job is to monitor and take necessary action to ensure team‟s effectiveness (Northhouse 2010). Figure 2: Leadership Decisions Monitor or Take Action Task or Relational Internal or External Internal Leadership Actions Task External Leadership Actions Relational Environmental Goal Focusing Coaching Networking Structuring for Results Collaborating Advocating Facilitating Decisions Managing Conflict Negotiating Support Training Building Commitment Buffering Maintaining Standards Assessing Satisfying Needs Sharing Information Modeling Principles Team Effectiveness Performance Development (Source: Northhouse 2010) Other Aspects worth considering: Team leaders, Managers in the project were completely blinded by deliverables and deadlines. This made management to overlook basic roles of management such as understanding individuals, knowing interests of individuals etc. UB: Page 6 Hogan (1991), as summarised by Clegg and Hardy (1999 p.153) states that individuals can be characterized by observing dispositional qualities which can be used for the employee development and organizational effectiveness. Each individual can be classified into one of the 30 traits under 5 headings identified by Comment [BU10]: FURTHER THEORETICAL IDEAS OF RELEVANCE TO ORG. Costa and McCrae as depicted in Table 1 (Buchanan and Huczynski). Table 1: High Low Explorer (O+) Openness Preserver (O-) Creative, open-minded, rigidity of beliefs & range of interests not receptive to new idea, Intellectual narrow-minded Focussed (C+) Conscientiousness Flexible (C-) Organized, self-disciplined, desire to impose order and precision disorganized, frivolous, Achievement-oriented irresponsible Extravert (E+) Extroversion Introvert (E-) Sociable, talkative, assertive level of comfort with relationships sociable, irritable, Adapter (A+) less uncooperative Agreeableness Challenger (A-) Good-natured, compliant the ability to get along with others quarrelsome, irritable, Sympathetic uncooperative UB: Page 7 Reactive (R+) Neuroticism resilient (N-) Anxious, depressed, tendency to maintain a balanced emotional state calm, contented, self-conscious self-assured High Low (Source: Buchanan and Huczynski) Six traits (fantasy, aesthetics, feelings, actions, ideas, values) relating to openness vary from „explorer‟ at one extreme to „preserver‟ at the other. Explorer (O+) traits are useful for purely creative sectors such as entrepreneurs, architects, artists etc. Preserver (O-) traits are useful for project managers, stage performers etc. Those in the middle are named „moderates‟ who are interested in novelty when there is a requirement but not for too long (Buchanan and Huczynski). In the same way traits related to other 4 headings are useful in various fields. It is time consuming to understand or judge individuals and deal accordingly; another problem here is employee turnover. By the time team leaders understand an employee; he/she might start looking for other opportunities or might have already filed resignation. This is the major problem in any IT industry in India and Accenture is no exception to this. Key point here is no attempt was being made by the team Comment [BU11]: PRACTICAL ISSUES WITH IMPLEMENTING RELEVANT THEORY leaders or management to understand employees and their interests. Understanding personality traits and realising that each individual falls in one of these categories helps leaders to delegate jobs accordingly. This inculcates intrinsic motivation to employees thus, maximising team‟s performance. Employees Comment [BU12]: NONETHELESS, FURTHER RATIONALE FOR USEFULNESS OF ALTERNATIVE, THEORETICAL APPROACH with intrinsic motivation are high performers (Deci et al 2001). Resolution: Training on leadership and other aspects relevant to the team leaders is the pivotal in Accenture to handle teams efficiently and effectively. Trainings are conducted on leadership but are not abreast and training programs need to incorporate the latest and useful models/styles such as team leadership model, charismatic and transformational. Leadership styles like charismatic and UB: Page 8 transformational can bring a positive impact to the organisation by following them (Yukl, 2002). In addition leadership team needs to be aware of personality traits and Hertzberg‟s motivation theory, which stresses hygiene factors and motivators in the work environment (Chell 1988). If the management was aware of the existence of team leadership model and had implemented, this situation would not have occurred in Accenture as this is the apt model to the current situation. As a short term solution team leaders can concentrate on relationship building (team leadership model) to Comment [BU13]: AUTHOR‟S POSITION = RECOMMENDATIONS BASED ON PRECEDING ARGUMENT bring the situation under control and then can concentrate on all other aspects of the team leadership model. From Accenture point of view training programs need to be abreast and train the leadership teams as per the project requirement. Though the solution incurs costs, it is worth spending in training rather than losing or delivering inferior output to the client, which is disastrous to the company in many aspects. Conclusion: Team performance issues exist in almost every company but the problem in Accenture has become worse due to the leadership team‟s ignorance to handle the Comment [BU14]: VALUE OF THEORY FOR PRACTICE situation. This review highlighted the importance of team leadership in a global organisation, and found training system to be irrelevant to real life situation. This review found team leadership model as the apt model to resolve organisation‟s existing problems, explored relevance of individual traits and factors that affect employee motivation; which helps leadership team to manage teams effectively. Comment [BU15]: SUMMARY OF MAJOR POINTS COVERED Finally this review suggested a solution to the leadership and organisation. UB: Page 9 References: Chell, E. (1988). The psychology of behavior in organizations, 1st edition. London: The Macmillan Press Ltd. Clegg, R. and Hardy, C. (1999). Studying Organization 1st edition. London: Sage publications. Deci, E. et al (2001). ‘Extrinsic rewards and intrinsic motivation in education: Reconsidered once again’. Review of Educational Research, Vol. 71, pp. 1-27. Hamzah, A., and Zairi, M. (1997). ‘Best practice in people Management’, Management Development Review. Vol. 10, No. 4/5, pp. 17*9–182. Huczynski, A. and Buchman, A. (2010). Organizational Behaviour, 7th edition. Harlow: Pearson Education. Northhouse, G. (2010). Leadership, 5th edition. California: Sage Publications. Yukl, G. (2002). Leadership in organizations, 5th edition. New Jersey: Prentice-Hall Inc. The Ken Blanchard Companies (2000).Situational Leadership II Teaching Others. Escondido CA: The Ken Blanchard Companies. Available at: http://kenblanchard.net/files/pdf/SLII_Teach_Others.pdf [Accessed 23 Oct 2010]. Bibliography: UB: Blackler, F., and Shimmin, S. (1984). Applying psychology in organizations, 1st edition. London: Methun & Co. Ltd. Blanchard, H. and Johnson, S. (1983). The one minute manager. New York: Berkeley Publishing Group. Duck, S. (1992). Human Relationships, 2nd edition. London: Sage publication. Smith, I. (2008). ‘People management – be bold!’, Library Management Vol. 29 No. 1/2, pp. 1828. Vigoda-Gadot, E. (2007). ‘Leadership style, organizational politics and employees performance’. Leadership Style. Vol. 36 No. 5, pp. 661-683. Page 10
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